Slide 1: Combined Shareholders' Meeting
Combined Shareholders’ Meeting A ACCOR
Slide 2: Sébastien Bazin
Sofitel Mexico City Reforma – Mexico 1 Sébastien Bazin Chairman & Chief Executive Officer
Slide 3: Besma Boumaza
Pullman Bangkok Kong Power - Thailand 2 Besma Boumaza Group General Counsel & Board Secretary
Slide 4: Jean-Jacques Morin
Sofitel Beijing Central – Beijing, China 3 Jean-Jacques Morin Deputy Chief Executive Officer
Slide 5: 2019 Results
Banyan Tree Phuket - Thailand 1 2019 Results
Slide 6: Key figures
Key figures Sofitel Mexico City Fairmont Genève Pullman Maldives Business Momentum Financial performance Return to Shareholders +1.7% L/L system RevPAR €4,049m Revenue €434m Recurring Free Cash Flow up +16.0% reported, up +3.8% L/L €783bn Return to shareholders in +5.1% Net Organic System
Slide 7: A record-breaking year for development
A record-breaking year for development Record Record Record Record Over 5,000 Near 330 hotels 510 hotels & Over 1,200 hotels hotels & & 45,000 rooms 76,000 rooms & 208,000 rooms 740,000 rooms opened signed in pipeline Net Organic Growth 1 opening per day 1 hotel signed Pipeline over +5,1% vs 2018 ev
Slide 8: Revenue growth of +3.8% L/L
Revenue growth of +3.8% L/L Reported L/L In € millions 2018 (1) 2019 change change Hotel Services 2,644 2,894 +9.5% 4.6% Hotel Assets 751 1,077 +43.4% +2.9% New Businesses 149 159 +7.2% +3.8% Holding & Intercos (54) (81) N/A N/A Total 3,490 4,049 +16.0% +3.8% 21c Chicago – USA (1) Restated and Profo
Slide 9: Solid EBITDA growth of +5.9% L/L
Solid EBITDA growth of +5.9% L/L Reported L/L In € millions 2018 (1) 2019 change change Hotel Services 724 741 +2.3% 5.8% (2) Hotel Assets 154 216 +40.1% (7.3)% New Businesses (20) (2) +90.4% +88.8% Holding & Intercos (139) (129) N/A N/A Total 719 825 +14.8% +5.9% (1) Restated and Proforma financial
Slide 10: From EBITDA to Net Profit
From EBITDA to Net Profit In € millions 2018(1) 2019 EBITDA 719 825 Depreciation, amortization and provision expenses (203) (328) EBIT 516 497 Share of net profit of associates and joint ventures 80 3 Non-recurring items (432) 177 Operating profit (163) 678 Net financial expense (73) (75) Income tax
Slide 11: Net debt driven by asset-light roadmap & IFRS 16
Net debt driven by asset-light roadmap & IFRS 16 €(430)m €978m €(434)m €(188)m €294m €108m €(148)m 1701 1267 €1 333m €1 153m 1153 1225 1225 1119 1119 Net Debt Lease liability Mövenpick Recurring Hybrid Dividend M&A Other Net Debt Dec. 2018 (IFRS 16) leases FCF Dec. 2019 reclassified in Held For Sale
Slide 12: Q1 2020 Business
Banyan Tree Phuket - Thailand 2 Q1 2020 Business
Slide 13: Q1 2020 Takeaways
Q1 2020 Takeaways Business Update Financial Performance 25.4% system RevPAR with -62.6% in March €768m Revenue 5.2% LTM net Organic System Growth Down (17.0)% reported, 8.0k rooms added in Q1 Down (15.8)% L/L Pipeline stable at 208k rooms 28% of the portfolio
Slide 14: Covid-19 Impact on EBITDA and measures taken by the Group
Covid-19 Impact on EBITDA and measures taken by the Group Strengthening Covid-19 Impact on EBITDA Cost savings plan (end-March) of the balance sheet • €60m reduction in corporate costs • New €560m Revolving Credit • Estimated €(170)m EBITDA via travel ban, hiring freeze and Facility signed on May 18
Slide 15: Sébastien Bazin
Sofitel Sydney Darling Harbour - Australia 4 Sébastien Bazin Chairman & Chief Executive Officer
Slide 16: Unprecedented health crisis leading to 90% of Accor hotels closed
Unprecedented health crisis leading to 90% of Accor hotels closed or closed for booking in April Source: Johns Hopkins University & Medicine
Slide 17: Nearly 1bn reduction in international travelers
Nearly 1bn reduction in international travelers 1408 1462 1333 1243 1197 1143 1097 1044 997 913 930 952 856 893 810 757 674 675 695 692 2009 Subprimes 2003 440 crisis SARS pandemic 2020 Covid-19 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
Slide 18: Fonds All Heartist
Fonds All Heartist Background Accor Contribution Accor Contribution o 62% of closed hotels at the end The Board decided: €70m special cash reserve to of April • to withdraw proposal of FY19 assist: • reduced activity for 75% of hotel dividend of €280m • Group employees in need, staff, ie 210 000 peo
Slide 19: Business situation: a slow and limited recovery
Business situation: a slow and limited recovery RevPAR – Key markets RevPAR – Focus on Europe USA Europe China UK Germany France -50% -50% -90% -90% 29-févr 14-mars 28-mars 11-avr 25-avr 09-mai 23-mai 06-juin 20-juin 29-févr 14-mars 28-mars 11-avr 25-avr 09-mai 23-mai 06-juin 20-juin RevPAR decrease
Slide 20: Accor creates conditions for recovery on the basis of the new sanitary requirements
Accor creates conditions for recovery on the basis of the new sanitary requirements Strategic partnership Strategic partnership Restore confidence with Bureau Veritas with AXA • Definition of sanitary standards • Implementation of a medical • Priority to health, safety and reassuring clients, partne
Slide 21: A violent crisis requiring to refund the Group structure
A violent crisis requiring to refund the Group structure The crisis has revealed a still too rigid cost structure Efforts made through the cost-saving plan must be continued Accor will emerge strengthened
Slide 22: Governance
Raffles Fairmont Boston El San – Etats-Unis Juan – Puerto Rico 5 Governance Besma Boumaza Group General Counsel & Board Secretary
Slide 23: Membership of the Board of Directors
Membership of the Board of Directors (AFTER THE SHAREHOLDERS’ MEETING) 12 directors (of which 2 directors representing employees) 50% of directors are independent 40% of directors are women
Slide 24: 9 meetings with an average attendance rate of 90%
Board of Directors’ work in 2019 9 meetings with an average attendance rate of 90 % Key topics covered: sale of 85.8% of the capital of Orbis to AccorInvest sale and management-back agreement for leased Mövenpick hotels reviewing the Company’s financing structure deciding to continue the share buyba
Slide 25: Committees of the Board of Directors
Comités du Conseil d’administration 4 specialized committees Audit, Compliance & Risks Committee (5 members) Commitments Committee (5 members) International Strategy Committee (5 members) Appointments, Compensation & CSR Committee (7 members)
Slide 26: Report of the Appointments, Compensation & CSR Committee
Rixos Borovoe - Shchuchinsk - Kazakhstan 6 Report of the Appointments, Compensation & CSR Committee Sophie Gasperment Committee chairman
Slide 27: Besma Boumaza
Sofitel Roma, Villa Borghese - Italy Besma Boumaza Group General Counsel & Board Secretary
Slide 28: Statutory Auditors' Reports
Place S220 King Kong 7 Statutory Auditors’ Reports Cédric Haaser PWC
Slide 29: Results of the resolutions
SO 21cSofitel ChicagoHua– Hin USA- Cha Am - Thailande 8 Results of the resolutions Besma Boumaza
Slide 30: First resolution APPROVED
First resolution APPROVAL OF THE PARENT COMPANY FINANCIAL STATEMENTS AND THE REPORTS THEREON FOR THE YEAR ENDED DECEMBER 31, 2019 Net profit €208 million APPROVED FOR 99.99% AGAINST 0.01%
Slide 31: Second resolution APPROVED
Second resolution APPROVAL OF THE CONSOLIDATED FINANCIAL STATEMENTS AND THE REPORTS THEREON FOR THE YEAR ENDED DECEMBER 31, 2019 Consolidated revenue : €4.049 billion Net profit Group share : €464 million APPROVED FOR 99.99% AGAINST 0.01%
Slide 32: Third resolution APPROVED
Third resolution APPROPRIATION OF PROFIT FOR THE YEAR ENDED DECEMBER 31, 2019 Appropriation of 2019 net profit for the year in full to retained earnings, and accordingly to increase retained earnings to €3,241,652,856.02. APPROVED FOR 99.89% AGAINST 0.11%
Slide 33: Fourth resolution APPROVED
Fourth resolution RE-ELECTION OF MR SEBASTIEN BAZIN AS A DIRECTOR For a further three-year term. APPROVED FOR 86.65% AGAINST 13.35%
Slide 34: Fifth Resolution APPROVED
Fifth Resolution RE-ELECTION OF MRS IRIS KNOBLOCH AS A DIRECTOR For a further three-year term. APPROVED FOR 95.25% AGAINST 4.75%
Slide 35: Sixth resolution APPROVED
Sixth resolution ELECTION OF MR BRUNO PAVLOVSKY AS A DIRECTOR For a further three-year term. APPROVED FOR 99.22% AGAINST 0.78%
Slide 36: Seventh resolution APPROVED
Seventh resolution APPROBAL OF A RELATED-PARTY AGREEMENT WITH PARIS SAINT-GERMAIN FOOTBALL SASP Related-party agreement concluded with SASP Paris Saint-Germain, under which, notably, the Paris Saint-Germain Football Club’s team kit will feature the ALL (Accor Live Limitless) logo. APPROVED FOR 80.10
Slide 37: Eighth resolution APPROVED
Eighth resolution RATIFICATION, TO THE EXTENT NECESSARY, OF THE RE-APPOINTMENT OF ERNST & YOUNG ET AUTRES APPROVED FOR 94.40% AGAINST 5.60%
Slide 38: Ninth resolution APPROVED
Ninth resolution APPROVAL OF THE REPORT ON THE COMPENSATION OF EXECUTIVE OFFICERS FOR THE YEAR ENDED DECEMBER 31, 2019 Say on pay ex post (FY 2019): shareholder approval on the report relating to the compensation of executive officers (including members of the Board of Directors) for the year ended
Slide 39: Tenth resolution APPROVED
Tenth resolution APPROVAL OF THE COMPENSATION AND BENEFITS OF THE CHAIRMAN AN CEO FOR THE YEAR ENDED DECEMBER 31, 2019 Say on pay ex post (FY 2019): shareholder approval on fixed, variable and exceptional components of the total compensation and benefits of any kind paid or awarded to Sébastien Bazi
Slide 40: Eleventh resolution APPROVED
Eleventh resolution APPROVAL OF THE COMPENSATION POLICY APPLICABLE TO THE CHAIRMAN AND CHIEF EXECUTIVE OFFICER FOR 2020 Say on pay ex ante (FY 2020): shareholder approval on the compensation policy applicable to the chairman and chief executive officer for 2020. APPROVED FOR 74.00% AGAINST 26.00%
Slide 41: Twelfth resolution APPROVED
Twelfth resolution APPROVAL OF THE COMPENSATION POLICY APPLICABLE TO MEMBERS OF THE BOARD OF DIRECTORS FOR 2020 Say on pay ex ante (exercice 2020): shareholder approval on the compensation policy applicable to the Directors for 2020. APPROVED FOR 99.05% AGAINST 0.95%
Slide 42: Thirteenth resolution APPROVED
Thirteenth résolution AUTHORIZATION FOR THE BOARD OF DIRECTORS TO TRADE IN THE COMPANY’S SHARES Maximum number of shares that may be acquired: 10% of the sharecapital Maximum purchase price: €70 per share Duration: 18 months APPROVED FOR 81.84% AGAINST 18.16%
Slide 43: Fourteenth resolution APPROVED
Fourteenth resolution AUTHORIZATION FOR THE BOARD OF DIRECTORS TO ISSUE ORDINARY SHARES AND/OR SECURITIES CARRYING RIGHTS TO SHARES TO MEMBERS OF AN ACCOR GROUP EMPLOYEE SHARE OWNERSHIP PLAN “PEG” WITHOUT PRE-EMPTIVE SUBSCRIPTION RIGHTS FOR EXISTING SHAREHOLDERS Issue of shares reserved for employee
Slide 44: Fifteenth resolution APPROVED
Fifteenth resolution AMENDMENTS TO THE BYLAWS Amendments of Articles 12 and 15 of the Bylaws to reflect the provisions of the law on corporate growth and transformation (“Pacte Law”), and the law simplifying French company law. APPROVED FOR 98.85% AGAINST 1.15%
Slide 45: Sixteenth resolution APPROVED
Sixteenth resolution AUTHORIZATION FOR THE BOARD OF DIRECTORS TO ISSUE FREE SHARE WARRANTS TO SHAREHOLDERS IN THE EVENT OF A PUBLIC OFFER FOR THE SHARES OF THE COMPANY Maximum issue: 25% of the share capital Implementation subject to the prior approval of a special committee of the Board of Director
Slide 46: Seventeenth resolution APPROVED
Seventeenth resolution POWERS TO CARRY OUT FORMALITIES APPROVED FOR 99.99% AGAINST 0.01%
Slide 47: Q&A
Q&A ACCOR ~ ComaINED SHAREHOLDERS’ MEETING - JUNE 30, 2020
Slide 48: ACCOR
ACCOR RAFFLES \ ORIENT EXPRESS \ BANYAN TREE \ DELANO \ SOFITEL LEGEND \ FAIRMONT \ SLS \ SO \ SOFITEL \ THE HOUSE OF ORIGINALS RIXOS \ ONEFINESTAY \ MANTIS \ MGALLERY \ 21C \ ART SERIES \ MONDRIAN \ PULLMAN \ SWISSOTEL \ ANGSANA 25HOURS \ HYDE \ MOVENPICK \ GRAND MERCURE \ PEPPERS \ THE SEBEL \ MAN